Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2015 (9) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (9) TMI 603 - AT - Income TaxDisallowance of deduction u/s 80P in respect of interest receivable on standard asset - Held that:- Assessee had deposited the money in a bank so as to earn interest. The said interest income is attributable to carrying on the business of banking and therefore it is liable to be deducted in terms of Section 80P(1) of the Act. If the interest amount of ₹ 19,06,609/- on the standard assets representing the loan given to the members of the assessee society, than the said income is eligible for the deduction u/s 80P being the income from the activity of credit facility to the member of the society. Therefore, subject to the verification of this fact that the interest income of ₹ 19,,06,609/- is earned by the assessee on the loan to the members of the society, the claim of the assessee is allowed. See CIT Vs Sri Biluru Gurubasava Pattina Sahakari Sangha Niyamitha [2015 (1) TMI 821 - KARNATAKA HIGH COURT] and Tumkur Merchants Souharda Credit Co-operative Ltd. Case [2015 (2) TMI 995 - KARNATAKA HIGH COURT] - Decided in favour of assessee.
|